Risk profiles of main segments: FBR creates new directorate

ISLAMABAD: The Federal Board of Revenue (FBR) has created a new directorate (Directorate-General of Compliance Risk Management) to develop risk profiles of the main segments and sectors of Pakistan to improve compliance and increase tax collection.

The FBR has issued SRO 1796(1)2022, here on Wednesday to specify the functions, jurisdiction and powers of the Directorate-General of Compliance Risk Management and its officers.

The Director General of the directorate will exercise powers of the Chief Commissioner and the directors of the new directorate would exercise the powers of the Commissioners Inland Revenue.

According to the details, the directorate shall develop risk profiles on the main segments and sectors related to the four pillars of compliance (registration, filing, reporting, and payment) to be included in the risk register. This would be required at least quarterly and annually.

It would have the mandate for the creation and updation of the risk register and data collection (both internal and external sources) through an integrated system with the Information Technology Wing of the FBR for the purpose of the creation of an indigenous data bank.

It would conduct environmental scanning, research and studies of approved compliance topics.

The directorate would be engaged in the collection of risk evaluation reports from risk owners (field formations) based upon taxpayer’s segments at all four compliance levels (registration, filing, correct reporting, payment and collection) on a quarterly and annual basis and update of risk portal.

Copyright Business Recorder, 2022